AFFAIRS IN AMERICA

Hokitika Guardian, 26 February 1920, Page 4

AFFAIRS IN AMERICA

Mr F. E. Jones, manager of W. H. Sims and Co., Christchurch, who returned this week from a four montlis’s

business trip to America, accorded a reporter an interview on the subjects of American post-war trade and the falling rate of exchange in Western America, and especially in British Columbia. Mr Jones found a great activity in trade, generally speaking. It was in a .boom stage in almost every line. All manufacturers bad more business than they could cope with. There was a great scarcity of foodstuffs in Vancouver, and exceptionally high prices were ruling. Mr Jones arrived at the conclusion that there was presented in Vancouver a splendid market for New Zealand farm products, such as cheese, dried milk, eggs, bacon, and frozen meat, all of which commodities were exceptionally dear there. Should sufficient shipping facilities be provided between New Zealand and Vancouver a good reciprocal trade could be maintained by the exporting of Oregon and other soft building timbers, of which there are still untold supplies to the Southern Dominion; but up to the present the shipping facilities between the Western American ports and New Zealand seems mostly to be controlled by San Francisco interests.

Wheat-growing is being carried on extensively, especially in the noted wheat provinces of Manitoba and Alberta, with the standard price of per bushel. The wheat farmers are enjoying a much brighter occupation than the New Zealand growers in consequence of the prevailing prosperity. The western towns are making good progress on the east coast. It was found that all industrial concerns were over, loaded with orders, and on steel and paper manufactures there seemed to be the heaviest strain in Canada, as well as in the United States. Immense developments are being made in electrical enterprises. House and hotel accommodation is very scarce, and Mr Jones found it very' difficult to obtain accommodation unless arranged for in advance.

Despite the enforcing of Prohibition in the United States, hotel properties seem to be very good business propositions, on account of the high tariffs ruling. .. Regarding the rate of exchange, Mr Jones' said the general feeling among financial men in America was that the rate was falling to a very dangerous extent, and sooner or later there must be a great reaction in trade geneially, which may produce a financial crisis. Many largo financiers are already prepariiig for such a contingency, which is expected in about a year’s time.